Colgate-Palmolive (CL) is expected to post Q3 results on Oct. 30 that are broadly in-line with Street estimates, UBS said in a note Tuesday.

Investor debate is likely to shift to 2027 as inflationary pressures and foreign-exchange headwinds are weighed against topline momentum, UBS said.

Higher input costs make the lower end of the company's 2026 EPS growth range more likely, though UBS expects the company to reiterate guidance rather than make meaningful changes.

Some of the cooling sentiment reflects improving consumption trends at Procter & Gamble (PG), UBS said, while other investors are questioning the trajectory into 2027, including an uneven recovery in North America.

The firm said it understands the pushback, given year-to-date outperformance and a valuation that screens as expensive versus history on a relative basis.

UBS kept the company's buy rating and $106 price target.

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